I take care of all the potential problems as soon as I purchase to reduce unexpected maintenance expense in the future.  

I'm not saying you have to be at the 2% rule, but any unexpected expenses, or if you miscalculated the rents by even 10%, and I think you'd be in a hole

What about major repairs that can crop up unexpectedly?

Yes i'd file immediately but depending on the situation (sounds like she pays rent on time) I'd work with her to make payments especially if this was an unexpected $700 bill and not a case where she just hasn't paid the last 3-4 bills (If the latter then shame on you too lol).I word my lease so that overdue water bills are paid before rent so in this case she would be $700 behind on rent which would make it easier when filing court papers.

this was very unexpected and I gained a private lender from it.

Turns out the rehab cost is right about where I want to be, even keeping a little extra for the unexpected costs.

Tim Gordon Thanks everyone and I know it's a process, I am still in the stage of "I want it now".Understanding that it's a must to have a job for those unexpected expenses and safety net, would you suggest getting a job that is related to real estate?

I walk the property and check the Property Condition Report and factor in "the unexpected" in to my bids

Believe me, there are unexpected problems with property that you don't see coming and borrowing money from a credit card is a terrible idea.

Maybe..make sure you have sufficient reserves to cover unexpected expenses..Find ways to get the most rent.(.$750)....What's included in the property across the street to pull the higher rent?